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Setting up a UK LTD from Spain
A British LTD is registered in 24 hours, without a notary, and carries prestige worldwide. This is what you gain, what has changed since Brexit and how we get it up and running for you.
The advantages of having your company in the United Kingdom
Your company in 24 hours, without a notary
The LTD is registered online at Companies House in one day for £100. £1 of share capital is enough.
Prestige worldwide
British company law is the common language of international business. An LTD gives confidence to customers, partners and banks outside Europe.
19% tax on small profits
Profits of up to £50,000 are taxed at 19%; the 25% rate only applies from £250,000, with a sliding scale in between.
No VAT up to £90,000
An LTD established in the United Kingdom with a turnover of less than £90,000 a year does not have to register for UK VAT: more competitive prices and less paperwork.
Hiring costs much less
The company pays contributions of 15% for its employees, around half the Spanish rate, and many small businesses can also deduct up to £10,500 a year from those contributions (Employment Allowance). Payroll, tax deductions and Social Security all go through a single system (PAYE).
More flexible employment rules
British employment law gives more room to hire and adjust staff numbers than Spanish law.
A magnet for investors
Investors and funds around the world know the LTD, and the UK tax schemes for people who invest in new companies (SEIS and EIS) make raising capital easier.
Access to the UK market
Invoice and get paid in pounds with no currency exchange, and sell to British customers who prefer to deal with a company from their own country.
How we get it running for you, without leaving Spain
- Review of your case. You tell us about your business and we tell you clearly whether the United Kingdom suits you, or whether another country is a better fit.
- Opening the company. Incorporation, plus tax and employer registration. You contract the registered office yourself with a local provider; we tell you which ones are reliable.
- Bank account. We choose the right provider with you and prepare the application so that it is not rejected.
- Month-by-month management. Accounting, tax, annual accounts and staff payroll, with a single point of contact in Spain.
What it really costs
The official fees are the least of it. Setting up an LTD costs £100 in official fees and £50 a year for the annual return. That is what every website publishes. And it is the least of it, because with that you have a registered company, not a working business.
What you do not see, and what has to be sorted out for the company to work:
- A registered office address in the United Kingdom, mandatory and renewable every year.
- Identity verification of directors and shareholders with Companies House.
- A bank account that will not be rejected: banks turn down many LTDs without a clear business activity.
- Registration with the UK tax authority (HMRC), as an employer (PAYE) and for the mandatory workplace pension scheme.
- Annual accounts, corporation tax and the annual return on time: penalties are automatic and the company can be struck off.
- Setting it up with real activity, so that the Spanish Tax Agency does not treat it as Spanish.
We do all of this for you, in Spanish and English, with a single contact person, except the registered office (and, where required, the local contact person), which you contract directly with a provider in the country.
Incorporation of the company, tax and employer registration, and a bank account application prepared so that it is not rejected.
Accounting, tax, annual accounts and a reminder of every deadline. Payroll from €25 per employee per month.
Plus official fees. The registered office is not included: you contract and pay for it directly with a local provider. Prices exclude VAT. We give you a fixed quote based on your business before we start.
Ask for your fixed quoteOnline banks that open accounts remotely
| Provider | What it is for and conditions |
|---|---|
| Revolut Business | Revolut has been a fully licensed bank in the United Kingdom since March 2026: deposits are covered by the UK deposit guarantee scheme (FSCS). Paid plans. |
| Wise Business | The simplest option for directors based abroad: it does not require a UK address. Multi-currency and international payments. |
| Airwallex | For companies with high volumes and payments in several currencies. |
| Tide | A UK account designed for small businesses; it may ask for a UK mobile number. |
Traditional banks (HSBC, Barclays, Lloyds, NatWest) usually require a UK-resident director and an in-person visit. Note: Wise and others on the list are not banks but electronic money institutions. They keep your money separate, but without a bank's deposit guarantee scheme. Conditions change often; we check them with each client before applying for the account.
Requirements we handle for you
Outside the EU since Brexit
There is no intra-EU VAT with Spain and goods go through customs. For digital services and consultancy this matters much less.
Mandatory identity verification
Since 18 November 2025, every director and person with significant control must verify their identity with Companies House, online or through an authorised agent.
Penalties are automatic
Filing the accounts or the annual return late brings an automatic penalty, and the company can be struck off by the registrar. Once it is struck off, the bank closes the account and the balance passes to the British Crown.
The key to using these advantages without problems with the Spanish Tax Agency
All these advantages are legal and they are yours if the LTD has real activity in the United Kingdom: customers, contracts, suppliers or staff there. What you must avoid is a letterbox company, in fact managed from Spain with nothing there: the Spanish Tax Agency would treat it as Spanish because its place of effective management is in Spain (article 8 of the Spanish Corporate Income Tax Act) and, since Brexit, the EU exception to the Spanish controlled foreign company rules no longer protects it. We set up the LTD so that it has that real activity from day one.
Frequently asked questions
Can I set up a UK LTD from Spain without living in the UK?
Yes. The company is registered online and the director can live in Spain. All you need is a registered office address in the United Kingdom, which is contracted as a service, and identity verification with Companies House.
How much does it cost to set up an LTD?
The official online incorporation fee has been £100 since February 2026, and the annual return (confirmation statement) costs £50. On top of that come the registered office address, the bank account and the accounting. With us, the full set-up costs from €490 and maintenance from €150 a month, plus fees. The registered office is contracted separately with a local provider.
Which bank accepts an LTD with a Spanish director?
Wise Business and Revolut Business open accounts remotely; Revolut has also been a fully licensed bank since March 2026. Traditional banks usually ask for a UK resident.
Do I save tax with an LTD if I live in Spain?
Only if the LTD has real activity in the United Kingdom. If it is managed from Spain with no activity of its own there, the Spanish Tax Agency may treat it as Spanish and the saving disappears.
Do you want your company in the United Kingdom?
Tell us about your project and we will tell you what you need, what it costs and how long it takes. All from Spain.
Other countries where we work
General information reviewed in October 2026, not an opinion on your case. Fees, rates and bank conditions may change; we confirm them in each case we handle.